BUDGET RENT A CAR SYSTEM
Budget Rent A Car System franchises businesses that rent automobiles without drivers to the general public for periods of 180 days or less under the Budget trademarks, using uniform operating methods and participating in a network of interdependent vehicle rental businesses. Franchisees must offer required products and services such as loss damage waivers, optional insurance, child seats, and navigational devices, and participate in the Corporate Rate Program for national accounts. The target market includes business and leisure customers, competing with regional, national, international car rental chains, and local independents, primarily in non-airport locations.
Franchise Costs
7.5% royalty + 0% ad fund + $150/mo Wizard admin + $42/workstation/mo tech support/internet (2-4 stations) + $135-$970/mo network fees
Financial Performance
Item 19 Financial Performance
This franchise did not provide Item 19 financial performance data.
Be careful if you are interested in investing. The lack of financial performance representations may indicate limited data or varying results across franchises.
Extracted Item 19 Section
How BUDGET RENT A CAR SYSTEM Compares
Key Insights
- Higher than average SBA loan default rate in Hospitality & Lodging
| Franchise | Investment | Fee | Royalty | Locations |
|---|---|---|---|---|
BUDGET RENT A CAR SYSTEM Current | $626K – $1.6M | $50K | 7.5% | 174 |
| QUALITY INN | $317K – $2.0M | $45K | 5.3% | 1,621 |
| SUPER 8 | $4.7M – $6.9M | $25K | 5.5% | 1,375 |
| DAYS INN, DAYS HOTEL AND DAYS INN & SUITES | $7.6M – $9.4M | $35K | 5.5% | 1,235 |
| LA QUINTA INN & SUITES | $12.8M – $17.2M | $55K | 5.5% | 884 |
| RED ROOF PLUS AND SUITES | $7.3M – $8.9M | $27K | 5.0% | 584 |
Hospitality & Lodging Average 41 franchises | $7.7M – $18.1M | $45K | 5.3% | – |
* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 41 Hospitality & Lodging franchises by location count.
Locations & Growth
Outlet Growth Over Time
Total outlets at end of each year
Geographic Distribution (2024)
Outlets by state across the United States
+15 more states
SBA Loan History
Historical SBA 7(a) loan data for BUDGET RENT A CAR SYSTEM franchisees (2016 – 2021)
Loans by Year
SBA 7(a) loan activity over time
* Data sourced from SBA 7(a) FOIA loan records. Default rate calculated from charged-off loans.
Franchisee Contacts
167 franchisee contacts on file from official FDD filings.
| Name | SBA Loan |
|---|---|
John Smith ABC Franchise LLC | $350,000 2023 · Active |
John Smith ABC Franchise LLC | $350,000 2023 · Active |
John Smith ABC Franchise LLC | $350,000 2023 · Active |
John Smith ABC Franchise LLC | $350,000 2023 · Active |
John Smith ABC Franchise LLC | $350,000 2023 · Active |
167 Contacts Available
Unlock all BUDGET RENT A CAR SYSTEM franchisee contacts with verified contact information
Due Diligence
Litigation (Item 3)
Misclassification of agency operators (franchisees/licensees) as independent contractors under California wage and hour laws.
Bankruptcy (Item 4)
System Health (Item 20)
Franchise system changes reported in the most recent fiscal year
Frequently Asked Questions
The total initial investment to open a BUDGET RENT A CAR SYSTEM franchise ranges from $625,500 to $1,588,400. This includes a franchise fee of $50,000. Ongoing royalty fees are 7.5% of gross sales.
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